Energy Transfer Q2 results on deck: What to expect

Energy Transfer (NYSE:ET) rose 2.79% on Tuesday ahead of its second-quarter earnings results scheduled for August 7th, after the closing bell.

Wall Street, on average, expects the midstream firm to post a quarterly EPS of $0.28 along with a revenue of $21.5B (+17.4% Y/Y).

“Second quarter financial results are expected to show revenue and earnings growth, with attention on operating cash flow and free cash flow warranted,” said Investing Group Leader Daniel Jones.

Recent acquisitions and joint ventures will impact future guidance, and these should be focused on when results are provided, Jones added.

During the reporting quarter, Energy Transfer announced the acquisition of WTG Midstream Holdings for about $3.25 billion, comprising $2.45 billion in cash and about 50.8 million in newly issued common units.

The partnership expects WTG to add ~$0.04/unit of distributable cash flow in 2025, growing to ~$0.07/unit in 2027, ET noted.

In its previous quarterly earnings, Energy Transfer missed consensus on the bottom line, but its revenues soared past what analysts had in mind. Distributable cash flow attributable to partners came in at $2.36 billion, compared to $2.01 billion last year.

Over the last year, ET has beaten EPS estimates 100% of the time and has beaten revenue estimates 75% of the time.

Since the start of the year, Energy Transfer has risen by about 15%. Seeking Alpha’s Quant has rated the stock as a Buy, while sell-side analysts recommend the company as a Strong Buy.